NCC slams N1trillion fine on MTN as shares drop

Nigerian Communications Commission (NCC), the nation’s telecommunications regulator, has slammed mobile phone firm MTN Nigeria, a $5bn (£3.5bn) fine for failing to disconnect subscribers with unregistered SIM cards bought before January 2012.

From that date anyone buying a Sim card in Nigeria has had to register it under their name by law.

Phone companies were told to register their existing customers’ Sim cards, which MTN Nigeria – the biggest telecommunications firm in Nigeria – has failed to do.

BBC reports that the fine is the largest in the history of telecom infringements in Nigeria and may redefine the relationships between telecommunications operators and the regulator.

Nigerians continue to complain about poor services from mobile network operators and blame the regulators for not doing enough to solve the problem.

A senior executive at MTN Nigeria said that the company will issue a statement on the fine later today.

Meanwhile, shares in South Africa’s MTN dropped more than 5 percent on Monday after reports that the mobile phone firm’s Nigerian unit could face a fine.

Chris Maroleng, the Johannesburg-based spokesman for MTN, declined to comment.

MTN was trading 5.32 percent at 180.80 rand by 1109 GMT.

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